1) COMPANY INFORMATION

Globus Power Generation Limited (the 'Company') is a domestic public limited Company with registered office situated at D-199 PushpakMarg, Hanuman Nagar, Vaishali Nagar, Jaipur, Pin 302021. It is listed on Bombay Stock Exchange of India (BSE), in the name of Globus Constructors and Developers Ltd. The company is engaged in the business of making strategic investments in infrastructure sector and particularly power generation business and acquisition of portfolio of wind / bio mass power plants and to make them part of their group. The business includes making investment in other securities, derivatives, mutual funds and properties.

Other Notes to Accounts

FY 31.03.2018

2. The company has made investment in ICICI Portfolio of SFA (Small Financial Assets) joint with other two co-owners. The amount collected in this Portfolio Account is credited to the Investment Account after netting off the share of the co-owners. The share of the co-owners in the Portfolio collection is determined on the basis of actual amount paid to them during the year.

3. MSM Enterprises Recognition

The company has a system of identifying amounts due to micro enterprises or small enterprises on the basis of the Entrepreneur’s memorandum Number (EM Number) printed on their invoices, supply orders/letterheads/other relevant documents and also on the basis of any intimation received from suppliers in this regard.

4. Going Concern Assumption:

The company has incurred substantial losses of Rs. 92,444,970/- (LY Rs. 925,841,215/-). Out of this the cash loss is Rs. 7,348,050/- (LY Rs. 877,324,596/-). However, the management is of the opinion that there is no uncertainty for the company for continuing in business for the foreseeable future. The management has clear intention not to liquidate the company or cease the operations. The company is able to realize its assets and discharge its liabilities in the normal course of business.

5. Property, Plant and Equipment:

Vehicles of WDV Rs. 374,014/- ( FY 2017- 577,266/- ; FY 2016- 839,415/-) acquired in merger during 2013-14 are yet to be transferred in company’s name.

6. Investments

a) During the last year (31.03.2017), the company has sold the entire investments in subsidiary TGPPL and GSPPL and associate SPGL at a price which is less than that at which the said investments were purchased by the company. The sales have however been made at prices which are not less than their fair market value. The company has obtained approval of the shareholders for disposal of the investments in their AGM held in the year 2016.

b) The small Financial Assets (SFA) Portfolio held by the company represents the two-wheeler loan portfolio and personal loan portfolio acquired from ’ICICI portfolio securities & Sub Account’ in the year 2009-10 in co ownership with others. The repayment received (net of brokerages) are credited to the SFA account shown under long term investments. This portfolio is yet to be transferred in the name of the company.